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Wind Industry Profile of

Nordex Successfully Entering the South African Wind energy Market

Wind turbine manufacturer Nordex has entered the South African market with a major contract

South African wind
power producer, Dorper Wind Farm (RF) Pty Ltd, whose sponsors are
South African based wind project developer Rainmaker Energy, through
its subsidiary Dorper Wind Development (Pty) Ltd, and its Japanese
partner Sumitomo Corporation, through its wholly-owned subsidiary,
have selected Nordex as supplier for the delivery and turn-key
installation of a 100 MW wind farm to be known as “Dorper”.

Dorper Wind Farm
(RF) Pty Ltd entered into a 20-year power purchase agreement (PPA)
with Eskom Holdings SOC Limited, a state-owned utility company on the
5th November 2012. On the same day the company entered into a
contract with the South African Department of Energy (DOE), under
which the payment obligations of Eskom under the PPA are guaranteed
by the DOE. The financing agreements for the project with different
international and South African banks as well as Euler Hermes, one of
the leading export credit agencies, have been agreed.

Nordex will be
commencing the construction work in the current month, followed by
the installation of the 40 N100/2500 turbines from the third quarter
of 2013 onwards. The order also includes a service contract for an
initial period of ten years.

“Dorper” is
located north-west of Queenstown, in the Eastern Cape, on a channeled
plateau characterised by good wind speeds. In the construction of the
wind farm, the parties will be paying particular attention to
maximising local manufacturing content and employment. Accordingly,
Nordex will also be utilising the services of local partners and
setting up a permanent local service station. In addition, it has
recently established a subsidiary based in Cape Town.

The “Dorper”
wind farm is one of the first renewable energy projects which the
Department of Energy of South Africa selected in December 2011 and
awarded a 20-year power purchase agreement. Further tendering
processes are to be held in 2013 in order to provide clean and
sustainable electricity supplies in the growth region of South
Africa.

“I am convinced
that our South African company will make a key contribution to
modernising the region’s power station base. Such decentralised
projects are important as they generate local employment outside
urban areas,” says Lars Bondo Krogsgaard, a member of Nordex SE’s
Management Board. In addition to the “Dorper” reference project,
Nordex qualified as a preferred supplier for a further major project
in South Africa in December 2011.